ARGENTINA: Seeks Delay of Bond Rulings as Talks Proceed-------------------------------------------------------Bob Van Voris at Bloomberg News reports that Argentina asked aU.S. judge to delay rulings that bar the country from makingpayments on its restructured debt before paying holders ofdefaulted bonds as it faces a possible default this month.

The South American nation renewed its calls for a delay so it cannegotiate without risking liability for what it argues could bebillions of dollars in new claims by holders of defaulted andrestructured bonds, according to Bloomberg News. Argentina madethe request to U.S. District Judge Thomas Griesa.

Bloomberg News notes that Argentina defaulted on a record $95billion in debt in 2001. Judge Griesa has ordered the country topay holders of more than $1.5 billion in defaulted bonds when itmakes a payment on its performing debt, Bloomberg News notes.Last month, Bloomberg News relates, the U.S. Supreme Courtdeclined to consider a challenge to that order.

The combination of rulings in favor of holders of the defaultedbonds, led by billionaire Paul Singer's Elliott Management Corp.,caused Argentina to miss a June 30 payment to holders of therestructured debt, Bloomberg News notes. The nation has a 30-daygrace period to make the payment before triggering a new default.

Elliott Management has said Argentina is refusing to negotiate,while government officials continue to seek a delay in JudgeGriesa's orders, Bloomberg News adds.

Global Resolution

Argentina and the bondholders have each met with a court-appointedmediator. The delay is needed so the country can make payments onits restructured bonds while negotiating a global resolution withholders of both defaulted and performing debt, Argentina argued,Bloomberg News discloses.

Judge Griesa scheduled a hearing to consider a variety of requestsfrom holders of Argentina's euro-denominated bonds, from Bank ofNew York Mellon Corp., the trustee for Argentina's restructuredbonds, and from a group of payment intermediary firms seekingclarification of Judge Griesa's decisions, Bloomberg News notes.

Last month, Judge Griesa ruled that a $539 million payment made byArgentina to BNY Mellon was an illegal attempt to evade hisorders, Bloomberg News relates.

Holders of the euro bonds asked Judge Griesa to allowclearinghouses including Euroclear SA to share information aboutbondholders with Argentina to help avoid a legal hurdle in thenegotiations, Bloomberg News notes. Holders of the defaultedbonds claimed Argentina could use the information to routepayments to restructured bondholders outside the jurisdiction ofJudge Griesa's court in violation of his orders, Bloomberg Newsadds.

The case is NML Capital Ltd. v. Republic of Argentina, No. 08-cv-06978, U.S. District Court, Southern District of New York(Manhattan).

ARGENTINA: Debt-Dispute Mediator Postpones Meeting--------------------------------------------------Ken Parks, writing for The Wall Street Journal, reported that acourt-appointed mediator has postponed a meeting between Argentinaand a small group of creditors in a high-profile dispute overunpaid debt that could end in a default as soon as next week.

According to the report, U.S. federal Judge Thomas Griesa hasordered Argentina and hedge funds to meet "continuously" with themediator in a bid to reach a deal ahead of a July 30 deadline onArgentine bond payments. The meeting has been rescheduled afterthe Argentine government said its representatives needed more timeto get to New York City, Daniel Pollack, the attorney that JudgeGriesa named to oversee negotiations, said in an email to theJournal.

===========B R A Z I L===========

BANCO BARCLAYS: Moody's Cuts Bank Financial Strength Rating to D------------------------------------------------------------------Moody's Investors Service has downgraded Banco Barclays S.A.'s(Barclays Brazil) bank financial strength rating to D-, from D,and lowered its standalone baseline credit assessment (BCA) toba3, from ba2. On the same date, Moody's affirmed the bank's localand foreign currency deposit ratings of Baa3 and Prime 3, long-and short-term, respectively, and the Brazilian national scaledeposit ratings of Aa1.br and BR-1, long- and short-term,respectively. The outlook on all ratings continues to be stable.

The downgrade of Barclays' Brazil standalone ratings to D-/ba3reflects the ongoing shift in strategic direction adopted by thebank as part of Barclays Plc's new business plan, which hasfocused on the revaluation of core activities on a global basis.The Brazilian subsidiary has also revised its growth plans for thedomestic market, reducing its participation in products andservices deemed as non-core and centralizing operations inactivities with stronger earnings generation potential, such asfixed-income, foreign exchange and derivatives trading forclients. However, the weak economic environment and lower businessand investors' confidence has led to a decline in businessopportunities and reduced earnings origination. The ratingsdowngrade also incorporates the bank's smaller franchise, with aleaner structure, less products and a lower capacity to originaterecurring revenues relative to peers.

Barclays Brazil's global local-currency deposit ratings of Baa3and Prime-3 incorporate Moody's assessment of a high probabilityof support from its parent, Barclays Bank Plc's, in light of theliquidity and funding support that it provides to the Braziliansubsidiary. The deposit ratings do not incorporate a probabilityof systemic support given Barclays Brazil's limited footprint inthe Brazilian deposit industry.

Moody's last took a rating action on Barclays Brazil on 31 July2012, when Moody's assigned to Barclays Brazil a bank financialstrength rating of D, long- and short-term global local andforeign-currency deposit ratings of Baa3 and Prime-3 and long- andshort-term national scale ratings of Aa1.br and BR-1. The outlookon all ratings was stable.

The principal methodology used in this rating was Moody's GlobalBanks methodology published in July 2014.

BANCO CRUZEIRO: Judge Approves Ch. 15 Protection------------------------------------------------Law360 reported that a Florida federal bankruptcy judge approvedBrazilian bank Banco Cruzeiro do Sul SA's petition for Chapter 15bankruptcy, a decision that will provide the bank some protectionin United States courts while it continues its primary insolvencyproceedings in Brazil. According to the report, U.S. DistrictCourt Bankruptcy Judge Laurel M. Isicoff granted recognition tothe bank's petition for Chapter 15 bankruptcy, which was filed onJune 5, saying that the bank's foreign representative, EduardoFelix Bianchini, is qualified and granting the bank protection inU.S. courts while the Central Bank of Brazil proceeds with itsliquidation.

About Banco Cruzeiro Do Sul

Banco Cruzeiro Do Sul S.A. ("BCSUL") was first established inAugust 1989. In 1993, the bank's shares were acquired by theIndio Da Costa family, who continued to manage the bank until June4, 2012, when the assets of the bank and its affiliates wereseized by the Central Bank of Brazil.

Luis Felipe Indio Da Costa is the principal member of the Indio DaCosta family and was also the principal of the bank although hisson, Luis Octavio, was the president of BCSUL.

According to BCSUL's Web site, the bank provided a variety ofservices which included commercial portfolio investments andcredit services.

During the course of its banking operations, BCSUL primarilyoperated out of Rio de Janeiro and Sao Paulo where it receiveddeposits and extending loans to individual customers. BCSULoperated nationally through a network of salesmen and agents,promoting the salary-secured loan product offered by the bank.The total loan book for BCSUL was R$12 billion.

Prior to be placed into liquidation, BCSUL was the 27th largestbank in Brazil. As of March 31, 2014, the bank's balance sheetreflected the R$7.75 billion (US$3.47 billion) in assets andR$10.3 billion (US$4.64 billion) in liabilities.

The liquidator for BCSUL filed a Chapter 15 petition (Bankr. S.D.Fla. Case No. 14-22974) on June 4, 2014, to seek recognition ofthe liquidation proceeding before the Central Bank of Brazil.According to the Chapter 15 petition, the bank has more thanUS$1 billion in assets and debt.

* BRAZIL: Sells $3.5 Billion in First Dollar Bond This Year-----------------------------------------------------------Filipe Pacheco at Bloomberg News reports that Brazil issued $3.5billion of government bonds in exchange for cash and old debtsecurities, offering the country's longest maturity in its firstdollar-denominated offering this year.

The country issued the bonds due in 2045 to yield 5.131 percentper year, the Treasury said in a statement, according to BloombergNews. The country raised about $1.5 billion of new cash,according to a person familiar with the offering who asked not beidentified because the details haven't yet been made public,Bloomberg News notes. The country also swapped new bonds foroutstanding securities with maturities ranging from 2024 to 2041,according to the statement obtained by Bloomberg News.

The Latin American country sold EUR1 billion ($1.3 billion) ofseven-year bonds in March to yield 2.961 percent just three daysafter Standard & Poor's lowered Brazil's credit rating by one stepto the lowest level of investment grade, reports Bloomberg News.

"The timing for the offering can be considered ideal," SiobhanMorden, the head of Latin America strategy at Jefferies Group LLCin New York, said in a telephone interview with Bloomberg News."There is still appetite for emerging-markets assets and for acredit name like Brazil," Bloomberg News quoted Mr. Morden assaying.

The sale may be extended to Asian investors by as much as $50million, and the final result of the operation will be announcedonce the sale in Asia is over, the Treasury said, Bloomberg Newsdiscloses.

The Latin American country last sold dollar bonds in October, whenit issued $3.2 billion of securities maturing in 2025 to financeoverseas buybacks, Bloomberg News relays.

Bloomberg News says that among Brazilian issuers that issueddollar bonds this month are state-controlled bank Caixa EconomicaFederal, which sold $500 million of bonds maturing in 2024, andpulp producer Klabin Finance SA, which sold the same amount of 10-year notes.

"The objective of the operation is to improve the curve of thesovereign debt in dollars," the Treasury said in the statement.Bank of America Corp., Deutsche Bank AG and Banco Itau BBA SA willcoordinate the sale, the Treasury added, Bloomberg News notes.

Growth Estimate

The latest bond offering comes as President Dilma Rousseff isfacing a combination of stalled growth and above-target inflationas the October election approaches, Bloomberg News discloses.

Analysts cut their growth estimate for an eighth consecutive week,forecasting a 0.97 percent expansion of gross domestic productfollowing a 2.5 percent increase in 2013, according to the medianof about 100 estimates in a central bank survey published July 21,Bloomberg News relays.

S&P lowered Brazil by one step on March 24 to BBB-, citing thenation's sluggish economic growth and Rousseff's expansionaryfiscal policies.

==========================C A Y M A N I S L A N D S==========================

ASHTON PERFORMANCE: Creditors' Proofs of Debt Due Aug. 14---------------------------------------------------------The creditors of Ashton Performance SPV are required to file theirproofs of debt by Aug. 14, 2014, to be included in the company'sdividend distribution.

ASHTON SELECT: Creditors' Proofs of Debt Due Aug. 14----------------------------------------------------The creditors of Ashton Select SPV are required to file theirproofs of debt by Aug. 14, 2014, to be included in the company'sdividend distribution.

CQS ABS ALPHA: Creditors' Proofs of Debt Due Aug. 11----------------------------------------------------The creditors of CQS ABS Alpha Feeder Fund Limited are required tofile their proofs of debt by Aug. 11, 2014, to be included in thecompany's dividend distribution.

The company commenced liquidation proceedings on June 30, 2014.

The company's liquidator is:

CDL Company Ltd. P.O. Box 31106 Grand Cayman KY1-1205 Cayman Islands

CQS ABS MASTER: Creditors' Proofs of Debt Due Aug. 11-----------------------------------------------------The creditors of CQS ABS Alpha Master Fund Limited are required tofile their proofs of debt by Aug. 11, 2014, to be included in thecompany's dividend distribution.

The company commenced liquidation proceedings on June 30, 2014.

The company's liquidator is:

CDL Company Ltd. P.O. Box 31106 Grand Cayman KY1-1205 Cayman Islands

EXPENSIVE INVESTMENTS: Creditors' Proofs of Debt Due Aug. 15------------------------------------------------------------The creditors of Expensive Investments Ltd are required to filetheir proofs of debt by Aug. 15, 2014, to be included in thecompany's dividend distribution.

HMTF-LA VENEZUELA: Creditors' Proofs of Debt Due Aug. 5-------------------------------------------------------The creditors of HMTF-LA Venezuela Cable Ltd are required to filetheir proofs of debt by Aug. 5, 2014, to be included in thecompany's dividend distribution.

HMTF-LA VZ: Creditors' Proofs of Debt Due Aug. 5------------------------------------------------The creditors of HMTF-LA VZ LP Ltd are required to file theirproofs of debt by Aug. 5, 2014, to be included in the company'sdividend distribution.

HMTF-LA VZ: Shareholders' Final Meeting Set for Aug. 6------------------------------------------------------The shareholders of HMTF-LA VZ LP Ltd will hold their finalmeeting on Aug. 6, 2014, at 9:00 a.m., to receive the liquidator'sreport on the company's wind-up proceedings and property disposal.

WINDSONG HOLDINGS: Creditors' Proofs of Debt Due Aug. 4-------------------------------------------------------The creditors of Windsong Holdings, Inc are required to file theirproofs of debt by Aug. 4, 2014, to be included in the company'sdividend distribution.

Chile is confronting a challenging macroeconomic environment.After several years of strong economic performance, Chile'sinvestment has weakened and growth slowed markedly due in part toa weaker copper price outlook, with the economy performingslightly below potential. At the same time, the depreciation ofthe peso has fed into higher inflation, but medium-termexpectations remain anchored around the Central Bank's target.

The current account deficit has narrowed rapidly to 3.1 percent ofGDP in the first quarter of 2014, but gross external financingneeds, though smaller than in 2013, remain high at 17 percent ofGDP. The labor market - albeit still tight - has softened.Monetary policy has eased; fiscal policy has stayed broadlyneutral. The central bank reduced the policy rate from 5 to 4percent between October 2013 and April 2014 amid a weakeningeconomic outlook and inflation below target. The cuts have beentransmitted to interbank and lending rates and contributed to pesodepreciation.

Nonetheless, credit growth has moderated for all types of credit,except for mortgage credit, which remains brisk. The 2013structural deficit was 0.8 percent of GDP (staff estimate). Thefall in copper revenue shifted the headline balance to a deficitof 0.6 percent of GDP from a surplus of equal size in 2012.

However, central government net assets remained at 6.7 percent ofGDP.

Growth is expected to bottom out in 2014 and gradually return totrend. Growth will reach 3.2 percent in 2014 and recover to itspotential level by 2016, supported by monetary easing, the pesodepreciation, and recovery in the global economy. Key risks tothe outlook stem from the potential of further declines in copperprices and global financial volatility. Although there are signsthat investment is stabilizing and could pick up later in theyear, consumption of durable goods has declined and furtherweakening cannot be ruled out. Net exports should continue toprovide a boost to the recovery.

The government has launched an ambitious policy agenda to bolsterlong-term growth and reduce inequality. It includes importantreforms in taxation, education, productivity, and energy. Theauthorities' tax reform aims to create a more progressive taxstructure and raise 3 percent of GDP in revenue to fund greaterspending on education and health, while raising public savings.

The education reform focuses on early childhood education, andfostering equal access and improving quality and accountability ineducation. The energy agenda aims to promote investment andefficiency and facilitate the use of clean technologies. Theauthorities' plans to bolster competitiveness include improvinginfrastructure, promoting research and development and jobtraining, and providing new services for small and medium-enterprises.

The financial sector is large, but risks are contained. Financialsystem assets exceed 200 percent of GDP. Bank capitalizationappears adequate, profitability remains comfortable, andnonperforming loans are low and fully provisioned. Life insurers'growing exposure to commercial real estate merits watching, butstress tests do not show significant concerns. Investment returnsof the private pension system have declined, and the governmenthas appointed a commission to propose parametric changes to ensureadequate replacement rates.

The authorities have sent to congress legislation that establishesrisk-based insurance supervision and a comprehensive creditregistry, and strengthens the legal framework of the Securitiesand Insurance Supervisor and the Financial Stability Council.

Executive Board Assessment

Executive Directors commended the authorities for their soundmacroeconomic management, which has contributed to Chile's robusteconomic performance in recent years. At the same time, Directorsnoted that the end of the copper price boom and the normalizationof global monetary conditions pose challenges to the growthoutlook. They acknowledged, however, that Chile, with its strongfundamentals and policy frameworks, including a floating exchangerate, is well placed to cope with these challenges.Directors agreed that the current macroeconomic policy mix isbroadly appropriate. They concurred that, with inflationexpectations well anchored and some remaining slack in theeconomy, monetary policy can remain accommodative althoughcontinued vigilance is needed in light of recent inflationdevelopments. Directors supported a broadly neutral stance offiscal policy, with full operation of automatic stabilizers. Theywelcomed the authorities' commitment to move toward a balancedstructural fiscal position by 2018 while minimizing the drag onthe recovery.

Directors emphasized the need for structural reforms to strengthenprospects for strong and inclusive growth. They agreed with theauthorities' focus on improving education, fostering female laborforce participation, upgrading key infrastructure, and promotingenergy efficiency. Directors also supported the tax reform'sobjectives of increasing progressivity and generating permanentrevenue to finance additional social spending, while maintainingincentives for private investment.

Directors commended the authorities for their track record offiscal prudence, anchored in a credible fiscal rule. Theywelcomed the plan to strengthen the legal framework for the FiscalCouncil, noting that consideration could be given in the mediumterm to increase its autonomy and broaden its mandate. In duecourse, further refinements to the rule-based fiscal frameworkcould also be considered. Directors saw the benefits of setting asmall structural surplus target over the cycle in preservingadequate buffers.

Directors recognized the progress in enhancing financial sectoroversight and the resilience of the financial system, and lookedforward to full implementation of the recommendations from theFinancial Sector Assessment Program. They underscored theimportance of focusing efforts on completing legislativeinitiatives, aligning capital standards with Basel III, andstrengthening the independence of the Supervisor of Banks andFinancial Institutions. The dominant role of financialconglomerates in the financial system also calls for a moreconsolidated approach to their oversight. Directors encouragedclose monitoring of corporate leverage, the real estate sector,and the growing exposure of insurance companies to commercial realestate.

* DOMINICAN REPUBLIC: Energy Fiasco is Country's Top Headache-------------------------------------------------------------Dominican Today reports that for entrepreneurs in the DominicanRepublic, tackling the energy problem must be the Government topeconomic goal, according to the Deloitte Consulting businessbarometer poll conducted with 108 senior executives of localcompanies, from April 21 to May 23.

The survey found however that while 32.7% of those polled said theelectricity problem is the main goal to pursue, just 7.5 percentsaid it should be the reform of the Labor Code, according toDominican Today.

Moreover Deloitte Consulting, represented by economists Jose LuisRamon and Nassim Alemany, found great optimism with DaniloMedina's Administration, with a 70.1% approval rating, a jump of11 percentage points compared with the previous poll, of 59.1%,the report relates.

=====================P U E R T O R I C O=====================

PUERTO RICO: Utility May Default on January Interest Payment------------------------------------------------------------Michelle Kaske, writing for Bloomberg News, reported that thePuerto Rico Electric Power Authority may miss a January interestpayment to investors, according to Municipal Market Advisors,potentially triggering the largest restructuring ever of state andlocal debt.

The agency, called Prepa, used $41.6 million of reserve funds tohelp make a $417.6 million payment to bondholders on July 1,according to Bloomberg. With the reserve now depleted by about 10percent, "we expect the bond trustee is unlikely to make any moredistributions to bondholders, reserving cash for likely litigationexpenses," Bloomberg quoted Matt Fabian, a managing director atConcord, Massachusetts-based MMA as saying.

ST. VINCENT COCOA COMPANY: Closes, Ceases Operations----------------------------------------------------Caribbean360.com reports that the St. Lucia government said itwill plan the way forward for the cocoa industry after owners ofthe St. Vincent Cocoa Company announced their decision to ceaseoperations.

Prime Minister Dr. Ralph Gonsalves, Minister of Agriculture,Saboto Caesar was slated to meet with the firm, notes the report.

Caribbean360.com said the company began operating in August 2011after signing a 50-year agreement with the Gonsalves government.

". . . . it is clear that they probably feel that the amount ofmoney to be made . . . they probably feel that enough farmershaven't come forward to plant cocoa; but the state will keep withthe cacao industry," Prime Minister Gonsalves told CMC, accordingto Caribbean360.com.

The report notes that the agreement, which qualified for reviewafter 20 years, gave Amajaro exclusivity in St. Vincent and theGrenadines to buy cocoa beans, in wet and dry form and to performall sales and marketing of cocoa within the period of theagreement.

It, however, made exception for cottage industry persons sellingcocoa for consumption in the country, the report notes.

"They haven't spoken in any detail about the reasons," PrimeMinister Gonsalves said when asked what reasons the company gavefor pulling out of St. Vincent, the report relates.

"I think the general statement has been the new owners not seeingthe light for a few years," Prime Minister Gonsalves said, thereport discloses.

Bloomberg reported in November 2013 that Armajaro Holdings Ltd.agreed to sell its soft commodities trading unit to Ecom Agroindustrial Corp, the report notes.

The company's trading arm, Armajaro Trading Ltd., reported a lossof US$7.6 million in the year ended September 2012, Bloombergreported, the report relates.

Prime Minister Gonsalves said after the meeting, Caesar wasexpected "to be in a better place to find out the precise way ingoing forward in light of the memorandum of understanding that wehad," the report notes.

Prime Minister said the Cocoa Company would leave is assets andinfrastructure for the government for "continuation of theprocess," the report notes.

"We are interested in continuing the process. A company came in,if they decide for their own commercial reasons to pull out, itdoesn't mean that there is not a space for cocoa," the reportquoted Prime Minister Gonsalves as saying.

Asked if the company had to give notice before ceasing operations,Prime Minister Gonsalves, who along with former Minister ofAgriculture, Montgomery Daniel, signed the agreement, said "Ithink they had to give a period of notice, but I think all thosethings Saboto will discuss with them," the report discloses.

Prime Minister Gonsalves said the government will see what can betraded off in lieu of notice.

***********

Monday's edition of the TCR-LA delivers a list of indicativeprices for bond issues that reportedly trade well below par.Prices are obtained by TCR-LA editors from a variety of outsidesources during the prior week we think are reliable. Thosesources may not, however, be complete or accurate. The MondayBond Pricing table is compiled on the Friday prior to publication.Prices reported are not intended to reflect actual trades. Pricesfor actual trades are probably different. Our objective is toshare information, not make markets in publicly traded securities.Nothing in the TCR-LA constitutes an offer or solicitation to buyor sell any security of any kind. It is likely that some entityaffiliated with a TCR-LA editor holds some position in theissuers' public debt and equity securities about which we report.

Tuesday's edition of the TCR-LA features a list of companies withinsolvent balance sheets obtained by our editors based on thelatest balance sheets publicly available a day prior topublication. At first glance, this list may look like thedefinitive compilation of stocks that are ideal to sell short.Don't be fooled. Assets, for example, reported at historical costnet of depreciation may understate the true value of a firm'sassets. A company may establish reserves on its balance sheet forliabilities that may never materialize. The prices at whichequity securities trade in public market are determined by morethan a balance sheet solvency test.

Submissions about insolvency-related conferences are encouraged.Send announcements to conferences@bankrupt.com

This material is copyrighted and any commercial use, resale orpublication in any form (including e-mail forwarding, electronicre-mailing and photocopying) is strictly prohibited without priorwritten permission of the publishers.

Information contained herein is obtained from sources believed tobe reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$775 per half-year,delivered via e-mail. Additional e-mail subscriptions for membersof the same firm for the term of the initial subscription orbalance thereof are US$25 each. For subscription information,contact Peter A. Chapman at 215-945-7000 or Nina Novak at202-241-8200.